Netflix Without the Mailings

Netflix just announced plans to begin dispatching movies straight to televisions through an LG-Electronics-made, Internet-connected set-top box. Netflix distributes most of its content—movies, TV shows and more—the old-fashioned way: through the mail. More than 7 million subscribers take part in one of its many rental plans, sending and receiving DVDs in small square envelopes. Now, thanks to high-speed Internet connections, the company is hoping to quicken the process, and allow customers to rent movies via the Web.

Netflix has already dipped its toes into this arena, but its "Watch Instantly" program hasn't fully caught on, in part because most users had to watch the content on their computers. The LG box will change that, allowing users to watch up to 40 hours of movies and shows per month. The selection isn't as great, but it's still significant. The company's DVD library is 90,000 titles strong, and the online selection currently has more than 6,000 options.

Alright, But the studio has, over the last few months, been seeking both a new writer and a new director for "Mouse," with a number of up-and-comers on the list. We''ll keep you posted when they're hired, but the very fact of development momentum is noteworthy. Paramount has had success distributing DreamWorks Animation's films – the studio currently has the hit "How to Train Your Dragon" out in theaters -- but also has made the most of its few forays into animation production. "The SpongeBob SquarePants Movie," a Paramount/Nick collaboration, earned $140 million worldwide back in 2004 (and that was long before the 3-D and hybrid live/animation crazes hit full bore, which could give a jolt to this one if the studio went that way).

I was wondering when Netflix was going to upgrade to a system like this. It should save them a lot of money in the long run. I hope they are able to make it work. I wonder if they are charging a monthly fee for their set top box, or just charging per movie?

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Thank you so much Tim. I really do appreciate your feedback. I'm still struggling with the technology but I wish everyone all luck with this competition. I've been pinned down with a sick grandchild and today a very sick daughter - both with gastric flu which afflicts us all at this time of year - so this is the first moment I've had to get to the computer.